SamuelRSmith said:
Real income is not really controlled by the Government, more by market forces. As it's increasing demand which causes inflation. Thinking about it, if what Kasz is saying is true (which I'm pretty sure he is, as I've heard him making the point frequently, sometimes with sources), and the gap between the rich and poor stayed relatively similar under Bush and the American economy grew, this would imply that, on the whole, people had more money to spend, increasing overall demand, and, thus, increasing inflation/reducing real incomes (particularly for those whose figures stayed roughly the same over the eight years). --- You will also see your prices go up as the dollar gets weaker. The dollar will get weaker as currencies such as the Euro and the Yuan grow, this has less to do with America, and more to do with the rise of other economies. Food prices fluctuate based on harvest, but prices are trending upwards as countries such as China and India are growing economically and are, therefore, demanding more food. Oil prices (which results in everything going up, from plastics to food to fuel) will rise as supply falls. --- There are some policies that the Government can take out, such as controlling the money supply and interest rates, but those would have only really been changed in any major way since the start of the recession. |
It's another reason why we should stop subsdizing corporate farmers to make our food more expensive.
It's also why we should stop subsidizing farmland based ethanol.
This is stuff Obama is against because being from Illnois, those are some of his biggest "fans".
Republicans and Democrats are both out to screw people in their political lives.
